Federal PLUS Loans are credit-based loans for eligible students who are enrolled at least half-time. For undergraduate students, the PLUS borrower must be one of the student's parents. For graduate students, the PLUS borrower is the student. PLUS Loans are non-need based and loan amounts are based on the student's unmet cost of attendance.
Parents can borrow an amount equal to the cost of your attendance at the college or university where you enroll, minus any financial aid you receive. The interest rate is fixed at 6.41% for loans first disbursed on or after July 1, 2013, and before July 1, 2014. For loans first disbursed on or after July 1, 2014, and before July 1, 2015, the interest rate is 7.21%. There is also a loan fee of 4% of the loan amount, which is deducted proportionally when the loan payments are made to your school.
For more information about PLUS Loans, go here.
If you're a graduate or professional student, you may also apply for a PLUS Loan to cover your own educational expenses. Get the details here.